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A Major Advantage of Built-In or Automatic Stabilizers Is That

Question 14

Multiple Choice

A major advantage of built-in or automatic stabilizers is that they


A) guarantee the federal budget will be balanced over the course of the business cycle.
B) require no Congressional action to be effective.
C) automatically produce surpluses during recessions and deficits during inflation.
D) require discretionary actions on the part of Congress before they exert an impact on output and employment.

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